Like most companies, your business is likely to enter into contracts with other companies. Some of these may be service contracts for drivers or other employees. Do you know if these contracts contain compensation clauses? If so, do you know the exact terms of these clauses? Thanks to a new Virginia Supreme Court decision, the language of a compensation clause in a contract can allow you to be held unscathed by the other party – even if the employee of that party sues you! [2] Hiett v. Lake Barcroft Community Ass`n, 244 Va. 191, 194-195, 418 S.E.2d 894, 895-896 (1992) (referring to Johnsones Adm`x v. Richmond and Danville R.R. Co., 86 va. 975, 978, 11 P.E. 829, 830 (1890) („[T]o) assert that it was the responsibility of one party to prohibit other parties from its own fault .

. . . can never be made legal where an informed judicial system predominates. Public order prohibits it and contracts contrary to public order are null and void.┬áIn Virginia, the compensation provisions are a possible restriction of the general prohibition on the application of non-responsibility. Compensation provisions are agreements between parties who share responsibility between them. Unlike declarations of non-responsibility, compensation provisions do not prevent victims from suing for damages as a result of catastrophic bodily harm. However, compensation clauses can sometimes require the victim to compensate the wrongdoer for the costs of the damages action – which does not distinguish the end result of a compensation clause from a waiver of liability. A qualified personal injury lawyer in Virginia can analyze contracts, case law and other applicable rules to determine if your legal rights are affected by the waiver from the compensation clause. Even if this case is not immediately striking, the attitude of the Court of Justice could have a significant impact on the interpretation of the language of the compensation clauses. For all parties who have entered into compensation agreements, it is important to consider the specific language of these clauses and the potential impact of some of these clauses.

In this case, the company that objected to a negligence action was allowed to compensate the applicant`s employer for taking note of the worker`s possible negligence in his affirmative defence. As such, Securitas Dominion may have to compensate Dominion for a loss resulting from a lawsuit by one of its own collaborators against Dominion. This result is certainly favourable to unauthorized defendants who have a compensation contract with a party on the other side of the dispute. Are the penalties for non-responsibility therefore meaningless? Not necessarily. The Virginia Supreme Court upheld agreements requiring a participant to compensate (i.e., reimburse) the program, activity or event provider if the participant causes his or her own injury or if the participant violates someone else. [3] In these cases, where the supplier is sued for personal injury caused by the participant, the court could order the participant to reimburse the supplier`s legal costs and costs. Any provision contained in a contract to build, modify, repair or maintain a building, structure or related authorization, including relocation, demolition and excavation, including a contract for the construction of projects other than buildings by which the contractor performing such work purports to compensate another contracting party of the contract or to keep it unscathed. , liability for damages resulting from the violation of the body in front of persons or the performance of the contract resulting from the negligence of another party or its representatives or collaborators, is contrary to public policy and is not applicable.